New signs predict changes at the Packard Plant. Palazuelo says work will begin in two to four weeks. / Regina H. Boone/Detroit Free Press

Packard Plant owner Fernando Palazuelo gives an update on the progress of his purchase on Tuesday at his office across from the Packard Plant. / Regina H. Boone/Detroit Free Press

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The Packard Plant ruins on Detroit’s east side could soon be buzzing with construction cranes as the plant’s Spanish-born owner launches the opening phase of his ambitious redevelopment project.

In an exclusive interview Tuesday, Fernando Palazuelo said he anticipates the arrival within two to four weeks of cleanup crews and aerial cranes to his 40-acre factory site, which is now vacant and hasn’t produced an automobile since the mid-1950s.

Palazuelo said he also is attempting to acquire a world-famous Banksy graffiti mural that was excavated from the site by artists in 2010 before Palazuelo owned it. He is to meet today with leaders of the Detroit-based 555 Nonprofit Gallery and Studios, who have the mural. They generated controversy earlier this year for their decision to try to sell the 1,500-pound piece to keep the gallery afloat.

“I know this is something important to Detroit, to try and keep the Banksy in Detroit rather than send it to California,” Palazuelo said from his Detroit office, which overlooks the Packard Plant from across deserted train tracks just off the property.

Palazuelo envisions restoring some of the original Packard structure and redeveloping it for commercial, industrial and cultural uses. He plans to apply for historic and brownfield tax credits to help pay for the project, which could cost up to $300 million and take decades to complete.

He pledged to hire Detroit workers, including the scrappers who have been dismantling the factory ruins for years.

“We are ready to pay a good salary,” he said. “We’re trying to get them working in the right direction with the Packard Plant.”

Palazuelo won the Packard Plant late last year for $405,000 in the Wayne County Treasurer’s foreclosure auction.

He acknowledged Tuesday for the first time that he probably lacked free-and-clear title to the vast and crumbling factory ruins until just a month ago.

Palazuelo said he reached a deal in July with a former owner, Dominic Cristini, who came forward with a claim that he was still the owner because the county auction didn’t succeed in fully extinguishing his ownership interests. County auctions are run as buyer beware scenarios, and Palazuelo’s full ownership may have been at risk and could have further delayed his plans to obtain financing and attract tenants. There are several prospective tenants, but he said it’s too early to name names.

According to Palazuelo, Cristini sought to extract as much as $3.5 million from him in order to end his claims to the property and those of other parties. Palazuelo said he struck deals last month with Cristini as well as 17 creditors to Cristini’s former company, Bioresource.

Palazuelo would not reveal the amounts paid or terms of the deals, but he said he’s confident he now has clear title.

“So finally we got agreements with all of them,” Palazuelo said. “Since one month ago — not more — we are owners of the Packard Plant.”

With the Cristini dispute resolved, Palazuelo recently paid overdue property taxes of more than $90,000, said David Szymanski, chief deputy Wayne County treasurer.

Cristini confirmed to the Free Press on Tuesday night that there was a settlement, but had no further comment.

Palazuelo, however, is still in talks with the City of Detroit over ownership of a single key parcel that was left out of the auction last year. Palazuelo has said he didn’t realize until after the auction that the parcel was missing from the deal.

The workers and equipment due to start next month would clear debris and dangerous loose concrete from the vicinity of the old Packard Motor’s administrative office building and the iconic red brick bridge that crosses East Grand Boulevard.

An eventual second phase would involve restoring to original condition the bridge and the four-story office, as well as a courtyard behind the office building.

Palazuelo has contracted with O’Brien Construction of Troy as general contractor. The architect is Albert Kahn Associates, whose namesake designed the original factory complex that opened in 1903.

Palazuelo is not the only new owner of a former Packard Plant building.

The Detroit-based Display Group bought the old Packard Building No. 22 in July. Company president Rick Portwood said Tuesday he’s also planning to restore his building and move his warehouse operations there this fall. The 255,000-square-foot building at 6235 Concord St. dates to 1939 and once housed a design department for Rolls-Royce Merlin engines used in British fighter planes during World War II.

“We’re exciting to bring the thing back and clean it up,” Portwood said.

Portwood said he thinks Palazuelo could succeed in his goal of attracting auto industry suppliers to the Packard site.

“It’s really quite nicely situated between GM’s Poletown and also Chrysler’s Jefferson Assembly plant, so for somebody who’s servicing both of those people, it would make sense to have a facility there,” Portwood said.